PSC: No turning back

There are 28 comments on the
Baltimore Sun
story from Dec 12, 2008, titled PSC: No turning back.
In it, Baltimore Sun reports that:

Maryland's chief energy regulator warned yesterday that lawmakers cannot reverse the deregulation of energy markets that many regard as a failure, concluding that seizing utility assets would be a costly gamble ...

We Marylanders gave away our power generation plants (BGE) that we built and paid for many years ago to Constellation Energy Group for a song and for the privilege of being screwed by CEG for the past fifteen years. Now our own PSC, whose mandate is to develop the best power generation market it can for Marylanders, says that it is unable to do its' job. The PSC should grow a set. The State of Maryland should build and operate new, efficient power generation plants that will deliver green energy to all Marylanders. We didn't need a private company to generate our gas and electricity thirty years ago, why does the PSC think we need to have one now.

We Marylanders gave away our power generation plants (BGE) that we built and paid for many years ago to Constellation Energy Group for a song and for the privilege of being screwed by CEG for the past fifteen years. Now our own PSC, whose mandate is to develop the best power generation market it can for Marylanders, says that it is unable to do its' job. The PSC should grow a set. The State of Maryland should build and operate new, efficient power generation plants that will deliver green energy to all Marylanders. We didn't need a private company to generate our gas and electricity thirty years ago, why does the PSC think we need to have one now.

The State of Maryland could have used the two billion dollar rebate we received recently to purchase controlling interest in BGE (or close to it as BGE's total market capitalization is 4.5 billion).

With controlling interest, the PSC or State of Maryland could reregulate BGE. The State of Maryland could have declared Eminent Domain over Calvert Cliffs and Brandon Shores and then used the two billion to compensate BGE for the seizure. The State of Maryland could have then supplied cheaper power to BGE for a profit. The profit could have been passed on to BGE rate-payers.

Instead, each household got $170--not that we didn't need the help but compared to the longterm benefits of owning BGE or reregulating it--we lost a major opportunity.

Before we do something stupid like allow Berkshire Hathaway or the French to own our power sources and distribution, let's get together and buy or reregulate BGE asap.

Let's be honest with ourselves -- energy will not be re-regulated. Shop around on your own for the best prices and lock into a contract. BUT READ THE ENTIRE CONTRACT BEFORE YOU SIGN.If you are a business owner and would like to explore your options, please email me at [email protected]I can prepare a free saving analysis for you, then you decide what is best for your business.

Well, most consumers are NOT business owners and we don't really have any choice. The other gas and electric suppliers actually charged more per kwh than BGE.

If we don't re-regulate or buy the plants. Our only other viable choice is to have the state build new plants which will offer cheaper electric and compete.

We Marylanders gave away our power generation plants (BGE) that we built and paid for many years ago to Constellation Energy Group for a song and for the privilege of being screwed by CEG for the past fifteen years. Now our own PSC, whose mandate is to develop the best power generation market it can for Marylanders, says that it is unable to do its' job. The PSC should grow a set. The State of Maryland should build and operate new, efficient power generation plants that will deliver green energy to all Marylanders. We didn't need a private company to generate our gas and electricity thirty years ago, why does the PSC think we need to have one now.

What makes you think the government is capable efficiently operating anything?

<quoted text>What makes you think the government is capable efficiently operating anything?

State-owned doesn't have to mean state-run or managed. If the State of Maryland purchased enough stock in BGE, it could have controlling interest in the company. It could replace upper management but keep the middle management and all of the workers.

When we were last regulated, I don't recall any power company assets being owned by the State.So assuring that rates are fairly set and overseen by the Public Service Commission, would be in the best interest of the retail power customer, but the PSC can't pull it off?Wasn't industry bias the complaint leveled by Democrats against the Ehrlich appointed PSC?Meet the new boss...same as the old boss.....

What seriously angered and disappointed me was when instead of using the rebate money (some TWO BILLION DOLLARS) to buy BGE, or at least controlling interest in the company, or at least some of the plants, they instead gave each rate-payer a one-time rebate of $170--sure it helped but it was not the best use of the resources.

The reason why it disappointed me was that a couple of years ago when the deregulation crap hit the fan we were told that we couldn't afford to buy BGE/CGE--it was worth too much and we didn't have the financial resources--it was probably true then when Constellation was over-valued at 10-15 Billion, but a few months ago, it was capitalized at 4-5 Billion. We could have bought it and nothing was done. The state had the money and did nothing.

The ratepayers could have become individual shareholders in BGE. Consumers would have kept their shares so long as they remained BGE customers and would have received dividends.

Alternatively, the State could have owned BGE and used the profits to increase state revenue. The state could have sold the BGE down the road for a profit.

<quoted text>State-owned doesn't have to mean state-run or managed. If the State of Maryland purchased enough stock in BGE, it could have controlling interest in the company. It could replace upper management but keep the middle management and all of the workers.

Yeah! OK, because the state is so good at holding people accountable for efficiency and effectiveness!

When we were last regulated, I don't recall any power company assets being owned by the State.So assuring that rates are fairly set and overseen by the Public Service Commission, would be in the best interest of the retail power customer, but the PSC can't pull it off?Wasn't industry bias the complaint leveled by Democrats against the Ehrlich appointed PSC?Meet the new boss...same as the old boss.....

And how much was invested in expanding capacity and maintaining the infrastructure in a regulated environement?

<quoted text>Yeah! OK, because the state is so good at holding people accountable for efficiency and effectiveness!

Yes, it is. I have worked in the private sector in many jobs. I have also worked for the local and federal government. I worked equally hard everywhere I went. The difference was that when I worked in a government job I got better remuneration and compensation.

We the citizens of Maryland work for the state. If you don't think the current state employees do an effective and efficient job, then why the heck don't you apply to be a manager or supervisor; or you could run for state delegate, senator, attorney general, inspector general, or governor? Instead all you do is complain, criticize, and condemn. Do something about it!

And how in God's name do we hold the private sector the private sector accountable? And since when was the private sector more efficient? Give me some concrete examples and facts.

<quoted text>Yeah! OK, because the state is so good at holding people accountable for efficiency and effectiveness!

Oh, and I guess that you prefer paying CEOs like Shattuck $12,500,000 per year to pay well over cost for your electricity. All the wonders of the free unregulated market! Just the way you love it in the private sector!

Let's look at the state government: O'Malley makes $150,000. The Attorney General makes $125,000 per year. The Comptroller makes around 110K.

Mayo Shattuck's salary is more than double that of the entire staff at the governor's office.

So, we could have 170 highly talented state employees with MBAs and Phds earning 80K or one overpaid CEO like Mayo Shattuck. Wonderful! Yes, just the way you like it in the private sector. So, freakin efficient and cost effective!

"In his last budget, Ehrlich had 77 aides, administrators and managers in his office, pulling down a total of $5,195,616 in salary. O'Malley's most recent budget calls for 84.5 employees making a total of $6,133,483."

<quoted text>Yes, it is. I have worked in the private sector in many jobs. I have also worked for the local and federal government. I worked equally hard everywhere I went. The difference was that when I worked in a government job I got better remuneration and compensation.We the citizens of Maryland work for the state. If you don't think the current state employees do an effective and efficient job, then why the heck don't you apply to be a manager or supervisor; or you could run for state delegate, senator, attorney general, inspector general, or governor? Instead all you do is complain, criticize, and condemn. Do something about it!And how in God's name do we hold the private sector the private sector accountable? And since when was the private sector more efficient? Give me some concrete examples and facts.

The private sector is held accountable every day through personal choice. You can choose to patronize a business or not. You can choose to invest in a business or not.

We have no such choice with government other than to move to another jurisdiction. In a one party state like Maryland there is no accountability. The majority can easily inflict its will on the minority.

<quoted text>Oh, and I guess that you prefer paying CEOs like Shattuck $12,500,000 per year to pay well over cost for your electricity. All the wonders of the free unregulated market! Just the way you love it in the private sector!Let's look at the state government: O'Malley makes $150,000. The Attorney General makes $125,000 per year. The Comptroller makes around 110K.Mayo Shattuck's salary is more than double that of the entire staff at the governor's office.So, we could have 170 highly talented state employees with MBAs and Phds earning 80K or one overpaid CEO like Mayo Shattuck. Wonderful! Yes, just the way you like it in the private sector. So, freakin efficient and cost effective!"In his last budget, Ehrlich had 77 aides, administrators and managers in his office, pulling down a total of $5,195,616 in salary. O'Malley's most recent budget calls for 84.5 employees making a total of $6,133,483."http://weblogs.baltimoresun.com/news/local/po...Happy Hanukkah!

Who deregulated BGE/Constellation and created the opportunity for that to happen? How have those people been held accountable for that decision?

Who decided to implement price caps so that competition would not emerge? How have those people been held accountable for that decision?

Who reneged on the agreement sending a clear message to potential competitors that agreements with the State are worthless and further discouraging competition? How have those people been held accountable for that decision?

Your beloved government created what we have now and you are complicit in allowing them to deny that fact.

<quoted text>The private sector is held accountable every day through personal choice. You can choose to patronize a business or not. You can choose to invest in a business or not.We have no such choice with government other than to move to another jurisdiction. In a one party state like Maryland there is no accountability. The majority can easily inflict its will on the minority.

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